SEC and CFTC Sue Goliath Ventures Founder Over Alleged $425 Million Crypto Ponzi Scheme

The U.S. Securities and Exchange Commission and the Commodity Futures Trading Commission have filed civil lawsuits against Goliath Ventures and its founder, Christopher Delgado, accusing them of operating an alleged crypto Ponzi scheme involving about $400 million. According to Odaily, the SEC said the company raised at least $425 million from more than 1,300 investors through unregistered securities offerings.The SEC said Goliath Ventures promised to place funds in crypto liquidity pools and provide monthly returns of 3% to 10%, but did not invest any funds or crypto assets, and that Delgado misappropriated at least $51 million for personal spending. The CFTC said about 1,600 customers invested at least $397 million for Bitcoin and Ethereum trading.Delgado has agreed to settle the SEC case, subject to court approval. The CFTC is seeking restitution, disgorgement, civil penalties, and a permanent injunction. He previously pleaded guilty to conspiracy to commit wire fraud, wire fraud, and money laundering, and admitted causing investors at least $250 million in losses.